Taiwan DRAM maker Nan Ya looking for new partner

Nan Ya Technology Corp., one of Taiwan's major merchant DRAM makers, istalking to several U.S. and Japanese chip companies in hopes of
obtaining some new and leading-edge technology in the memory arena.

"We are behind in technology development,'' said Charles Kau, executive
vice president for Taoyuan-based Nan Ya. "We are talking to Fujitsu,
IBM, and Hitachi. Within an month, we will decide which company will be
our partner and sign the agreement."

Nan Ya hopes to obtain DRAM-process technology with linewidth
geometries from 0.22- to 0.18-micron. It also hopes to get 256-Megabit
DRAM technology, as well.

Formed in 1994, Nan Ya originally licensed 16- and 64-Mbit DRAM
technology from Japan's Oki. But that agreement has run its course,
leaving the Taiwan DRAM maker no choice but to look for another partner.

"To survive, Nan Ya will definitely need to buy technology from an
advanced DRAM maker for the time being, but this a risky business
model,'' said Vincent Lu, an analyst for National Investment Trust Co.,
Taipei. ``Once its technology provider decides to stop offering its technology,
the company will be in big trouble.''